Bitcoin fell 2.74% to $62,270, Bitfinex optimistic about quarterly outlook

Bitcoin continued to be under pressure over the weekend, with prices falling sharply in 24 hours

Despite the short-term correction, market observers still believe that the leading cryptocurrency is expected to close higher this quarter, ending two consecutive quarters of downward trend.

Recent BTC price movements and market indicators

The latest trading price of Bitcoin is approximately US$62,270, down 2.74% in the past 24 hours. Its daily trading volume reaches US$34 billion and its market value hovers around US$1.25 trillion, indicating that Bitcoin still dominates the broader digital asset market even in the face of increased volatility.

Well-known cryptocurrency exchange Bitfinex pointed out a trend worthy of attention this quarter. Bitcoin prices have risen 7.47% since the start of the quarter and are expected to end two consecutive quarters of decline. Still, Bitfinex cautions against rashly thinking that the market has completely hit bottom.

The exchange cited historical data from 2018-when Bitcoin rose in the third quarter, but plunged 42% in the following quarter. Bitfinex emphasized that a breakthrough of $68,266 could set the current market cycle apart from previous post-bear market recovery stages.

Bitfinex pointed out that although Bitcoin rebounded this quarter, a breakthrough of $68,266 will be the key to confirming its escape from the previous bear market recovery cycle.

Derivatives Market and Traders 'Positions

While spot market pressures led to the latest decline, Bitcoin derivatives trading activity surged. Derivatives trading volume surged 75.42% to US$51.27 billion, indicating a significant increase in trading activity among market participants.

In contrast, open interest in bitcoin futures fell slightly 0.14% to US$47.09 billion, which means traders are reducing or closing leveraged positions rather than increasing portfolio exposure.

The OI-weighted funding rate, which measures the cost of long and short positions, recorded a positive 0.0060%. Although a positive funding rate means that long traders continue to pay fees to short traders, the rate is relatively low, indicating that the current level of leverage is only moderate.

Mini Dictionary: The OI weighted funding rate is used to measure the average capital payment between long and short traders in perpetual contracts and helps evaluate leverage use and market sentiment in derivatives trading.

Key indicators: Bitcoin's current price is US$62,270, down 2.74% in 24 hours; trading volume is US$34 billion; market value is US$1.25 trillion; derivatives trading volume is US$51.27 billion, an increase of 75.42%; Open interest contracts are US$47.09 billion, down 0.14%; funding rates are positive at 0.0060%.

Key Points and Investor Outlook

Analysts are focusing on the resistance level of US$68,266 as a potential turning point. A clear break in prices could distinguish the current recovery from previous bear market rallies and signal a renewed strengthening of buyer momentum.

Conversely, if recent gains cannot be continued, Bitcoin may again face downward pressure, especially if the negative patterns seen in previous cycles reappear. Traders are closely watching the evolution of resistance areas and monitoring activity in both the spot and derivatives markets for further clues on the potential direction of prices.

Market sentiment and subsequent trends

Recent fluctuations in trading volume and derivatives trading volume reflect that the market is preparing for significant changes in Bitcoin prices. The balance between increased trading activity and limited leverage use suggests that participants are cautious but ready for possible breakthroughs, depending on how Bitcoin interacts with key resistance areas in the coming days.

Market participants remain focused on whether Bitcoin can regain upward momentum after the recent correction, with their attention highly focused on key resistance levels and the broader risk environment.